GDX: VANECK GOLD MINERS ETF
What this ETF is trying to do
The VANECK GOLD MINERS ETF (ticker: GDX) is an exchange-traded fund that focuses on companies involved in mining gold. This ETF holds a variety of different companies. Because we only have a partial list of what the fund owns, we call these "Top Holdings." Some of the largest companies in this portfolio include Agnico Eagle Mines Ltd (11.01%), Newmont Corp (11.01%), Barrick Mining Corp (7.70%), and Wheaton Precious Metals Corp (5.74%). These holdings can change over time.
What the numbers show
The current price of one share of GDX is $88.22. An estimated price from roughly one year ago was $78.61.
When looking at how much money an ETF makes, it is important to look at two different numbers: price return and total return.
• Price return only measures how much the share price went up or down.
• Total return includes both the share price change and any cash distributions (payments) the fund gave to investors.
For GDX, the one-year price return was approximately 12.22%, while the one-year total return was slightly higher at about 13.01%. Looking further back, the three-year price return was approximately 228.08%, and the three-year total return was approximately 239.68%.
Income and distribution explanation
Some investors buy ETFs to get regular cash payments, called distributions. The distribution yield for GDX is approximately 0.72%. This means the cash payments are quite small compared to the price of the ETF. The trailing distributions were $0.63. These payments are described as "irregular" or "less frequent," meaning they do not happen on a steady, predictable schedule.
NAV erosion explanation
Investors sometimes worry about "NAV erosion." This is when the actual value of the assets held inside the ETF starts to drop significantly over time. For GDX, the erosion-risk score is 100, and the data shows "No price erosion detected." There is no severe erosion-risk flag for this ETF.
Pros
• The ETF has shown strong historical total returns over the last one, three, and five years.
• There are currently no signs of price erosion detected.
Cons
• The distribution yield is relatively low at 0.72%.
• Cash distributions are irregular and do not happen frequently.
Beginner takeaway
GDX is an ETF that tracks gold mining companies. While it has provided significant growth in share price over the last few years, it does not provide a large or regular amount of cash income for investors.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | AGNICO EAGLE MINES LTD | AEM | 11.01% |
| 2 | NEWMONT CORP | NEM | 11.01% |
| 3 | BARRICK MINING CORP | B | 7.70% |
| 4 | WHEATON PRECIOUS METALS CORP | WPM | 5.74% |
| 5 | FRANCO-NEVADA CORP | FNV | 5.14% |
| 6 | ANGLOGOLD ASHANTI PLC | AU | 4.92% |
| 7 | KINROSS GOLD CORP | KGC | 4.13% |
| 8 | GOLD FIELDS LTD ADR | GFI | 4.07% |
| 9 | PAN AMERICAN SILVER CORP | n/a | 2.72% |
| 10 | NORTHERN STAR RESOURCES LTD | n/a | 2.41% |